Transcript Highlights:

• eligibility of a political subdivision for a grant from the Rural Infrastructure Disaster Recovery Program
• so that we can include the city of Kerrville and Kerr County. a few other rural counties into the program
• Members, House Bill 26 protects an extremely popular program in Harris County, giving neighborhoods and
• eligibility of a political subdivision for a grant from the Rural Infrastructure Disaster Recovery Program
• The program move for passage is now before the House. The question occurs on final passage.

Bills: HB25, HB48, HB149, HB254, HB26, HB192, HCR3, HCR4, HCR5, HCR6, HCR8, HCR14, HCR16, HR1, HR2, HR3, HR4, HR6, HR7, HR8, HR9, HR12, HR11, HR13, HR14, HR15, HR16, HR20, HR22, HR23, HR24, HR25, HR26, HR27, HR28, HR29, HR30, HR31, HR32, HR33, HR45, HR48, HR49, HR51, HR52, HR55, HR56, HR57, HR59, HR60, HR61, HR62, HR63, HR64, HR65, HR66, HR70, HR71, HR72, HR74, HCR2, HCR7, HR10, HR21, HR35, HR36, HR37, HR38, HR39, HR40, HR42, HR43, HR44, HR46, HR47, HR50, HR53, HR54, HR67, HR69, HR75, HCR 5, HCR 6, HCR 8, HCR 14, HCR 16, HR 1, HR 3, HR 4, HR 6, HR 7, HR 8, HR 9, HR 12, HR 11, HR 13, HR 14, HR 15, HR 16, HR 20, HR 22, HR 23, HR 24, HR 25, HR 26, HR 27, HR 28, HR 29, HR 30, HR 31, HR 32, HR 33, HR 45, HR 48, HR 49, HR 51, HR 52, HR 55, HR 56, HR 57, HR 59, HR 60, HR 61, HR 62, HR 63, HR 64, HR 65, HR 66, HR 70, HR 71, HR 72, HR 74, HCR 7, HR 10, HR 21, HR 35, HR 36, HR 37, HR 38, HR 39, HR 40, HR 42, HR 43, HR 44, HR 46, HR 47, HR 50, HR 53, HR 54, HR 67, HR 69, HB 25, HB 48, HB 149, HB 254, HB 26, HB 192

Keywords: ivermectin, pharmacist authority, prescription-free, healthcare regulation, patient access, HB 48, Texas alert notification systems, emergency alerts, public warning systems, alert fatigue, notification fatigue, Texas Division of Emergency Management, Department of Public Safety, DPS alerts, emergency management, State of Texas Emergency Assistance Registry, STEAR, disaster notifications, weather alerts, Amber Alert

Transcript Highlights:

• to do so. specific program, a complex program as specific program, a complex program as Representative
• that you have on the program. that you have on the program.
• participate in the 340B program. participate in the 340B program.
• to shut their dental program down. to shut their dental program down.
• Programs like Harbor Care in programs.

Keywords: 1189, house, all

Transcript Highlights:

• Uh program.
• Part D program.
• LIS program do for New Hampshire. LIS program do for New Hampshire.
• . program. program.
• created this program 13 years ago. created this program 13 years ago.

Keywords: 1189, house, all

Transcript Highlights:

• Chair: Next we have HB 783, Coordinated Access Model Pilot Program.
• They may contact the program directly or be referred for assistance.
• And that includes 60 different behavioral health programs in our community.
• And that's why it's a pilot program to test to see if we can do it.
• And so we need the intervention.

Transcript Highlights:

• intervention etc. intervention etc.
• studies grant program studies grant program alongside<00:47:50.400> our<00:47:50.720>
• > responding teacher preparation programs responding teacher preparation programs responding to
• programs and in higher<01:07:39.440> education.
• :08:36.480> are teacher prep programs obviously are teacher prep programs obviously are going<

Bills: HF3489, HF3550

Keywords: grooming, child protection, student safety, sexual exploitation, educator licensing, teacher discipline, mandatory reporting, mandated reporter training, school misconduct, predatory offender, child abuse, sexual abuse, sex trafficking, child sexual abuse material, child pornography, position of authority, school employee, school administrator, license revocation, license suspension

Transcript Highlights:

• Juvenile hall is a more restrictive intervention and carries greater harms.
• We've adopted many statewide EPR programs for things from mattresses to paint to batteries.
• , pickup programs, and product take-back requirements.
• Quick programming note before we take up Senator Jones next.
• For the children we serve, this bill is about protection, intervention, and justice.

Summary: The committee heard several public safety bills and took testimony on each, with members often noting amendments and continuing negotiations. SB 1009 by Senator Becker would require juvenile courts to find that less restrictive alternatives are unsuitable before ordering detention, and would require periodic review of continued detention and consideration of alternatives at disposition. Supporters argued it would reduce unnecessary youth detention and improve transparency; probation, judges, and police groups opposed it as an undue limit on judicial discretion and potentially unsafe in serious cases. The chair said he would recommend an aye with amendments, but the bill was held pending quorum and later remained on call. SB 1130 by Senator Gomez Reyes would update privacy law for wearable recording devices such as smart glasses, requiring consent before recording in places where people have a reasonable expectation of privacy and banning devices or accessories designed to defeat recording indicators. Supporters said the bill addresses secret recording and invasive surveillance; opponents from tech and hospitality groups sought clarification to avoid unintended liability for businesses and exempt workplace communication devices. Members discussed those exemptions, and the chair recommended an aye, but the measure also remained on call. Senator Blake Spear presented SB 99, which would let courts consider military protective orders in domestic violence proceedings and require better communication between civilian law enforcement and military authorities. Supporters from the Department of Defense, local officials, and military representatives said it would close protection gaps for military families; the ACLU opposed it on due process grounds because MPOs are issued without judicial process. The chair and author emphasized that the bill only allows consideration of MPOs and does not require civilian enforcement of them. The bill passed out on a vote, though it remained on call for additional members. The committee also heard SB 937 by Senator Gonzalez, restricting flashbang use for crowd control and banning flashbangs and explosive breaching charges in immigration enforcement, and SB 1022, creating a statewide anti-trafficking task force. SB 937 drew support from civil rights and community groups and opposition from police and sheriffs over the use-of-force standard and limits on tactics; it passed out on a vote but remained on call. SB 1022 was supported by survivor and faith groups and opposed by public defenders and sex worker advocates who raised concerns about racial disparities and enforcement harms; it also passed out on a vote. Later, SB 1395, extending criminal protective orders for certain felony sex offenses against minors up to 20 years, and SB 1230, increasing penalties for repeat illegal dumping, were both heard with mixed testimony and were held on call after committee votes. The committee also adopted a consent calendar and several bills were moved forward with amendments.

Transcript Highlights:

• So here we had a Medicaid program paying ...a Medicaid program paying one rate, the fee for service,
• Because it's a federal program, I thought it was worth just a brief explanation: the 340B program is
• We know that it has an impact on the Medicaid program.
• This program was actually developed after meeting with advocates in Colorado who created a Take 5 program
• for the Program for Language Equity.

Keywords: 995, all

Summary: The Joint Committee on Health Care Financing held a public hearing on a large docket of bills focused on MassHealth benefits and reimbursement, health equity, behavioral health, public health, dental access, 340B drug pricing, tobacco cessation, and coverage for children. The chairs emphasized rising health care costs, provider shortages, administrative burdens, and persistent inequities by income, race, geography, and immigration status. Much of the testimony centered on H.1416/S.901, an act to advance health equity, with legislators and members of the Health Equity Compact arguing for statewide benchmarks, stronger health equity leadership, reimbursement for interpreter services, community health workers and patient navigation, Medicaid graduate medical education support, and a health equity zone trust fund. Witnesses described disparities in life expectancy, maternal mortality, access to primary care, and the impact of federal Medicaid and social service cuts, and urged the committee to report the bill favorably. The committee also heard strong support for H.1368/S.847 on rapid whole genome sequencing for critically ill MassHealth children. Testifiers from industry, academia, hospitals, and families said early sequencing can end long diagnostic odysseys, improve treatment decisions, shorten hospital stays, and save money, while also providing emotional relief and information for families. The hearing then moved to H.1407 on MassHealth rate parity for inpatient behavioral health providers, where Rep. Scanlan and the Massachusetts Association of Behavioral Health Systems said the bill would codify existing administrative parity so managed care plans cannot pay less than the MassHealth fee-for-service rate. On H.1392/S.853 to preserve and protect public health, witnesses supported higher vaccine administration fees to improve provider participation and immunization rates. The committee also heard testimony on H.770/845 to protect 340B providers in MassHealth, and on S.848 to require reporting and transparency around 340B revenues and outside administrative costs. Additional bills drew testimony on tobacco cessation coverage for MassHealth members, with advocates supporting broader access to counseling and medications through medical, behavioral health, and dental providers. On H.1409, a nursing home operator asked for more flexibility in a MassHealth staffing-related penalty tied to patient days per resident. On H.1401/S.888, supporters of the “Take 10” dental access proposal said adult MassHealth dental coverage is underused because too few dentists accept MassHealth, leading to long travel times and avoidable emergency room visits; they urged incentive payments for dentists serving new adult MassHealth patients. Finally, on H.1403/S.855, “Cover All Kids,” advocates and immigrant community members urged removal of immigration status as a barrier to full MassHealth coverage for children, while also backing a related bill to ensure 12 months of continuous coverage for children. No votes were taken during the hearing; the committee primarily received testimony and asked questions on costs, reimbursement levels, and implementation details.

Transcript Highlights:

• That really is our responsibility, as well as the responsibility of the various federal programs and
• My wife, just as a example, used to... to always talk about how the TELPAS program was so frustrating
• This data points to a prevailing reluctance among school administrators to apply disciplinary intervention
• by section 33 point 0, 0, 5, the tech Texas Education Code to carry out a comprehensive counseling program
• Please note that parental consent is already required for any type of mental health intervention in school

Bills: HB367, HB497, HB549, HB983, HB 1188, HB 1290, HB1368, HB2243, HB2310, HB2849, HB3099, HB3546, HB3629, HB3627

Keywords: education, absences, severe illness, life-threatening, school policy, verification, healthcare, insurance, affordability, coverage, patient rights, school health, respiratory distress, airway clearance devices, medication training, public health, HB 983, Texas Education Agency, TEA, educator privacy

Transcript Highlights:

• that are within both sides of the program, the pilot for the river grant program and the standard program
• the program. the program.
• the program. the program.
• I love this program. I've worked with this program for years.
• I love this program. I've worked with this program for years.

Keywords: 1183, house

Transcript Highlights:

• A few years ago, that volunteer program was done away with.
• There is a lot of work to try to get that program that was lacking.
• There's also a program at Endova County Medical Center called the Next Step program, a violence intervention
• program that has saved lives and broken cycles of trauma.
• Please talk to the advocacy programs and the direct service programs in your communities and find out

Transcript Highlights:

• program. On line 295 is Senate File 928. program. On line 295 is Senate File 928.
• our state version of that national program, match the requirements of the national program.
• . program. program.
• Thank you. of surgical intervention. Students of surgical intervention.
• and programming for the entire family. and programming for the entire family.

Keywords: 1187, senate, all

Transcript Highlights:

• > s uh dual language immersion program s uh dual language immersion program s that<00:20:59.480
• So this is trying to encapsulate the uniqueness of dual language immersion programs.
• <00:24:55.200> on in insert literacy intervention on in insert literacy intervention on 9.20
• That program actually generated more teachers of color than anything we've done to date.
• I'll just withdraw. program here in Minnesota um like these program here in Minnesota um like these tier

Keywords: 1187, senate, all

Transcript Highlights:

• Do you have a frequent flyer program? I'd love to take advantage.
• AI then analyzes the data to learn how to devise strategies to neutralize their program target, which
• We hope these urgent policy interventions will help rebuild trust in our information ecosystem.
• We really do need a frequent flyer program. Maybe you get, like, first in line in the elevators.
• I'm the Chief Program Officer at TechEquity.

Summary: The committee first heard AB 56, which would require social media platforms to display a warning label about potential mental health harms from prolonged use, with amendments shortening the initial warning and allowing immediate access to the platform. The author and supporters, including a parent who lost a daughter to suicide and a therapist, argued that social media contributes to teen anxiety, self-harm, and other harms and that families need clearer public health information. Opponents from tech and civil liberties groups argued the bill would be ineffective, burdensome, and likely unconstitutional, saying it would create warning fatigue and should be replaced by more targeted tools and digital literacy measures. Several members discussed emergency access concerns, language access, and whether the warning should be more actionable; the bill was moved on a 9-0 vote to the Judiciary Committee. The committee then took up AB 358, which would amend CalECPA to allow law enforcement, with the victim’s consent, to inspect certain abandoned tracking or surveillance devices found in a victim’s home, vehicle, or personal property without first obtaining a warrant. The author and a San Diego prosecutor said the bill is narrowly tailored to devices used solely for spying and is intended to help stalking and domestic violence survivors act quickly before evidence is lost. Opponents from EFF and the ACLU warned the bill would weaken warrant protections, create a loophole around CalECPA, and reduce transparency and accountability. Members debated Fourth Amendment issues, abandonment, and the practical need for rapid access; the bill passed the committee on a 9-0 vote to Appropriations. The committee also heard AB 1137, which builds on last year’s CSAM reporting law by allowing any user to report child sexual abuse material, requiring clearer reporting mechanisms, adding human review in some cases, and mandating third-party audits and public reporting. Supporters, including survivor advocates and a parent of a child victim, said the bill would reduce the burden on survivors and improve removal of abusive content. Tech industry opponents said they support the goal but objected to the human-review mandate, public audit disclosures, and enforcement provisions, arguing they could create security risks and compliance burdens. Members generally supported the bill’s intent but raised questions about audit frequency and human review; the bill was moved on call with seven votes at the time of the transcript.

Transcript Highlights:

• Rep, since the red light camera program went into effect, you have some data on that?
• you sure rep can since the red light you sure rep can since the red light camera<00:19:11.880> program
• went into effect you have camera program went into effect you have some<00:19:13.679> data<00
• has been uh you thanks so this program has been uh sort<00:21:17.559> of<00:21:18.080> ramped
• tools and tactics thank you intervention tools and tactics thank you thank<00:31:38.480> you<

Keywords: 912, senate, all

Summary: The joint committees heard testimony on House Bill 1064, which would implement recommendations from the Fire Safety Research Institute’s Maui wildfire report, clarify the role of the State Fire Marshal, and appropriate funds. Testimony was generally supportive from DLNR, the Climate Advisory Team, the State Fire Council, Hawaiʻi Electric, the Attorney General’s office, the Honu Fire Department, AARP, the Hawaiʻi Insurance Council, and others. Governor Green’s office said it supported the bill but wanted the office of the State Fire Marshal placed under the Department of Defense rather than the governor’s office, citing constitutional and administrative concerns. Members also questioned the State Fire Council about the selection process for the fire marshal and about defensible space and wildfire resilience in different communities. After discussion, the committees deferred decision-making on HB 1064 to Friday, March 14, at 3:00 p.m. in Room 225 for the Committee on Public Safety and Military Affairs, with the same recommendation from the other committee. The hearing then moved to House Bill 697, which would expand who may review automated speed enforcement images. HDOT supported the bill but said it would prefer funding from the Highway Special Fund or the automated speed enforcement special fund rather than general revenues. Opposition testimony from the ACLU raised privacy concerns, argued the bill blurs the line between law enforcement and infrastructure management, and said DOT staff lack the mandate and expertise for the task. Judiciary said it would need additional capacity to process citations and hearings, and noted the program’s likely workload and costs were still uncertain. The committees then took up House Bill 277 on vehicular pursuit policy. The Attorney General and the Law Enforcement Standards Board urged the committees to defer the bill and let the board develop policy first, while Hawaii County Police opposed the measure as unnecessary, confusing, and too restrictive of officer discretion. Honolulu Police Department and the Policing Project supported the bill, arguing that clearer statewide standards and transparency are needed because pursuits can cause serious injuries or deaths and existing policies are inconsistent or not public. The Policing Project said the bill could be improved with amendments on serious crimes, but supported legislative action to set statewide standards while still involving the board. No final vote or action on HB 277 was taken in the portion provided.

Transcript Highlights:

• Through your education and cognitive intervention programs, which you do through Windham, and keeping
• Every inmate there is there for a specific program. There's a program for vocational programs.
• We have had great success with this program. This program is a grant-funded program.
• early prevention and intervention programming.
• I'm here to register support for the level funding for battering intervention programs, or BIPs, as we

Summary: The Senate Finance Committee heard the Legislative Budget Board’s overview of the Texas Department of Public Safety’s 2026-27 budget, followed by extensive testimony from DPS leadership. The LBB presentation covered funding and staffing changes across driver license services, facilities, troopers and recruit schools, crime labs, vehicle and aircraft operations, and border security. The recommendations included added support for customer service staffing and trooper hiring, but did not include several DPS exceptional items such as major driver license staffing and technology requests, new regional headquarters in El Paso and San Antonio, and other capital projects. Members also discussed proposed rider changes, including a new rider to lapse unused trooper funding and require reporting after recruit schools. Much of the committee’s questioning focused on driver license operations, where senators criticized long call wait times, low call-answer rates, appointment delays, and what they viewed as an overreliance on adding staff rather than improving processes. DPS and LBB witnesses said the agency is pursuing some technology upgrades, including automation, online pre-population of applications, and appointment-system improvements, but acknowledged that the driver license division remains a major problem area. Senators also raised concerns about whether the 2019 efficiency study led to meaningful changes and whether the agency should consider broader process redesign or even a different administrative structure. Colonel Freeman and other DPS officials then defended the agency’s broader law enforcement and border-security work, emphasizing the need for the Williamson County training academy, the 500 additional troopers funded in prior sessions, and continued support for Operation Lone Star. They described DPS’s role in border interdiction, threat-to-life investigations, oilfield theft cases, Capitol and Alamo security, and highway safety, and said the agency is stretched thin by deployments and overtime. Members asked about border reimbursement possibilities, regional staffing differences, pursuit safety, fleet and aircraft replacement needs, and the Texas Ranger Hall of Fame museum. No votes or formal actions were taken in the portion provided.

Transcript Highlights:

• like the BFA and other programs.
• Um so again programs that it supports.
• this you know the the guarantee programs this you know the the guarantee programs work<00:17:55.360
• you know, the risks of our programs you know, the risks of our programs candidly.<00:26:11.440><
• A lot of their programs are.

Keywords: 928, house, all

Summary: The committee first heard testimony on House Bill 1042, which would increase the BFA contingent credit limit. State Treasurer Monica Misipelli explained that under RSA 66, state debt capacity is tied to unrestricted revenue and that guaranteed debt counts in the calculation even though it is contingent rather than direct debt. She said the state currently has about 4.2% to 4.3% debt-to-revenue ratio, about $120 million in additional capacity, and that approving the bill’s proposed increase would reduce available capacity for future state borrowing, including capital budgets. She noted the BFA has a long history of using guarantees without a state payout, but said the legislature should consider whether the full additional $250 million is needed and whether unused guarantee authorizations, such as one for the Pease Development Authority, should be reviewed in the future. Committee members asked whether guarantees have the same effect as actual debt for bonding capacity, and the treasurer confirmed that they do for purposes of the formula. Members also asked about the usual level of debt relative to the statutory 10% cap, and she said the state generally stays well below that limit. BFA Executive Director James Key Wallace then testified that the request was driven by rising project costs, inflation, and the need for more runway so the agency does not have to return to the legislature in an emergency. He said the BFA is self-supported, has never had a guarantee paid out by the state, requires collateral and reserves, and believes the appropriate range is closer to $400 million to $450 million; he also said a Senate bill would raise the limit to $400 million. He added that the BFA’s pipeline includes projects from about $15 million to $100 million and that housing availability is an important factor in business location decisions. After closing the work session on House Bill 1042, the committee opened House Bill 241, a bill on health insurance coverage for pain management services for chronic pain. Representative Dave Nagel, the prime sponsor, gave extensive background on his long career in pain medicine and said the bill is intended to improve access to non-opioid therapies and evidence-based pain management. He described the broad population affected by chronic pain and opioid use disorder, and said the proposal has long had bipartisan and stakeholder support. No vote or final action was taken on House Bill 241 in the portion of the meeting provided.

Transcript Highlights:

• like the BFA and other programs.
• like the BFA and guarantees for programs like the BFA and other<00:07:30.960> programs.
• A lot of their programs are.
• A lot of their programs are.
• A lot of their programs are.

Keywords: 1189, house, all

Summary: The committee first heard testimony from State Treasurer Monica Misipelli on House Bill 1042, which would increase the contingent credit limit for the BFA. She explained that under RSA 66 the state’s debt capacity is capped at 10% of unrestricted revenue, and that guaranteed debt counts in the calculation even though it is not direct debt. She said the state currently has about 65% of its capacity used, roughly $120 million of remaining room, and that raising the BFA contingent credit limit from $200 million to $450 million would reduce that capacity. She noted the state’s debt-to-revenue ratio is about 4.2%, that the state’s credit rating is not immediately affected by the guarantee program unless the state actually has to assume the liability, and suggested unused guarantee authorizations, such as one for the Peace Development Authority, could be reviewed in the future. Members asked whether a credit guarantee affects bonding ability like actual debt, what the usual debt level is relative to the statutory cap, and whether the increase would crowd out future capital borrowing. Misipelli answered that guarantees are included in the formula and do affect available capacity, though the current ratio remains manageable. She also said she had been using a $120 million benchmark for capital budget planning and was now modeling $130 million in future state debt. When asked whether the full $250 million increase was necessary, she deferred to the BFA, saying the question should be answered by the agency. James Key Wallace, executive director of the New Hampshire BFA and interim commissioner of Business and Economic Affairs, then testified in support of the bill. He said the request was driven by larger project costs over the last several decades, with construction inflation causing guarantees to be used up in bigger chunks, and by the fact that the BFA has been close to its current cap. He said the agency does not use taxpayer funds, has never had a payout on a guarantee in nearly 35 years, and requires collateral, reserves, and an 80% loan-to-value buffer. He told members the Senate had a similar bill to raise the limit to $400 million and that the BFA considered that range acceptable. In response to questions, he said a smaller increase such as $150 million would cover known transactions but might not provide enough runway for future opportunities, and he confirmed the bill was brought at the BFA’s request. He also said businesses consider housing availability when deciding whether to locate in New Hampshire, since housing and workforce are key location factors. At the end of the work session, the chair closed House Bill 1042 and opened House Bill 241, a bill on health insurance coverage of pain management services for chronic pain. Representative Nagel began introducing the bill and asked for copies of the treasurer’s debt-capacity report, but the transcript cuts off before any further action on HB 241.

Transcript Highlights:

• Cost and Coverage Program at UT Health Science Center in Houston.
• House of the Legislature may submit a request to the Analysis Program to prepare and develop an analysis
• There's not the opportunity to do other programs. They're basically paying the most of anyone.
• I'm an intervention... I practice in San Antonio.
• Let's look at the outcomes not just for preventive care but even interventions.

Bills: HB138, HB335, HB388, HB138

Keywords: health impact analysis, cost analysis, coverage mandates, health insurance, legislative analysis, health care data, education, funding, classroom resources, teacher support, student outcomes, health benefits, provider dentists, payment reimbursement, insurance code, noncontracting, dental care, reimbursement, health benefit plans, noncontracting providers

Transcript Highlights:

• Oz would be in charge of these programs.
• pose any cuts to the Medicaid program.
• The question is, will you oppose cuts to this program?
• You want people to have confidence in the program.
• outcomes to the programs that you will oversee?

Keywords: Michael Falkender, Deputy Secretary of the Treasury, IRS, taxpayer privacy, nomination process, committee hearing

Summary: The committee convened to discuss critical issues surrounding the nomination of Michael Falkender for the position of Deputy Secretary of the Treasury. This meeting included a series of remarks from committee members who expressed divergent views on Falkender's qualifications and the implications of his appointment. Senator Wyden voiced strong opposition, arguing that Falkender represents harmful policies expected to be perpetuated under the current administration, especially concerning taxpayer privacy and IRS tactics. Meanwhile, other members defended Falkender, noting his extensive experience, including a commitment to transparency in government operations if confirmed.

Transcript Highlights:

• It's going to improve the program and help more taxpayers stay in the program.
• As part of that, we're looking at three individual interventions, three programs that would be established
• So as part of that, we're looking at three individual interventions that three programs that would be
• Multifamily Housing Program, the Portfolio Reinvestment Program, the Joe Serna Jr.
• So we'd like to also include the Portfolio Reinvestment Program as a program to be considered.

Summary: The committee opened with the State Controller’s Office May Revision requests, including funding for Fiscal book-of-record stabilization, a Broadcom IDMS licensing adjustment, the California State Payroll System, ACFR reporting automation, and $3 million for unclaimed property outreach. Testimony emphasized progress on Fiscal becoming the state’s accounting book of record in July, faster ACFR publication, and the move to electronic unclaimed property claims. Members asked about the size of the unclaimed property fund and how quickly money is transferred to the General Fund; the Controller’s office said about $15 billion is held, with most excess transferred regularly, and the LAO noted the fund is the General Fund’s fourth-largest revenue source. No concerns were raised by Finance or the LAO, and the item was closed after no public comment. The committee then heard the administration’s proposal to tax prewritten digital software and software-as-a-service, with Finance saying it would modernize sales tax treatment and raise an estimated $450 million General Fund and $560 million local revenue in 2026-27. The LAO supported modernizing the tax but suggested broader digital goods coverage and a business-use exemption; industry and taxpayer groups opposed the proposal, warning of higher costs for consumers and businesses. Members also heard CDTFA’s administrative request tied to the proposal, plus a separate CDTFA budget reduction reflecting lower operational needs; that reduction was presented as a savings item and drew positive reactions. Next, the committee considered federal conformity for “Trump accounts,” which would align California tax treatment with federal rules for tax-deferred children’s accounts and avoid tracking burdens for families. The LAO recommended approval, and the item drew no opposition. The committee also heard a proposal to cut the first-year $800 annual business tax to $400 for LLCs, LPs, and LLPs; Finance argued it would lower startup costs and encourage new business formation, while the LAO said the benefit was not well targeted and could subsidize entities that would form anyway. Members discussed the policy tradeoff, and public commenters split between support for small business relief and concern about revenue loss. The final major revenue item was a permanent business tax credit limitation, capping credits at the greater of $5 million per corporation or 50% of pre-credit liability, while excluding the low-income housing tax credit and personal income tax credits. Finance said it would raise significant revenue from large profitable corporations, and the LAO said it was a reasonable option but noted it would mainly affect the R&D credit and could have future implications for programs like California Competes. Public testimony was sharply divided, with business groups opposing the cap and anti-poverty advocates supporting it as a way to recapture revenue. The committee also heard FTB’s CalFile realignment request, which would return most of the direct-file-related resources to the General Fund while retaining a smaller staff to improve CalFile, and the California Arts Council’s request to reauthorize the Keep Arts in Schools voluntary contribution fund, which members and advocates supported despite relatively modest annual donations. The hearing continued with GoBiz proposals on civic media funding, CA RISE reappropriation, and a semiconductor facility reversion, with the LAO supporting the latter two and members raising questions about the civic media program’s scope, outreach, and inclusion of broadcast and ethnic media.